COVID-19 is a game-changer, accelerating the speed and expanding the scope of monetary and fiscal stimulus. The result is a distorted financial landscape, riddled with negative interest rates, extreme valuations, speculation and fraud. How then should we invest?
In this fascinating fireside chat, Pan Yongchuan, Director of Ternary Fund Management, discusses how owning scarce and productive real assets can protect against inflation and safeguard your portfolio in these challenging times.
Here are 6 takeaways from the discussion:
- Why inflation is perhaps on the horizon? (9:56 – 22:45)
- Why the price of uranium (an irreplaceable fuel for nuclear reactors) must go up, or the lights will go out. (24:03 – 31:25)
- Crude Tankers, robust cashflow machines trading at a fraction of market value. (31:27- 37:39)
- Critical services/specialty engineering, a stable revenue generator with high barriers to entry, backed by real assets. (37:40 – 45:14)
- How the Ternary Cypress Fund identifies new investments (48:50 – 52:23)
- Why secondary inventory and long-term fixed price contracts have kept uranium’s price lower than its marginal cost of production. (1:01:50 – 1:05:10)